Russia seeks investors

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Russia is hosting the World Student Games in Kazan in March 2013; Olympic and Paralympic Games in Sochi in February 7–23, 2014; Formula 1, Russian Grand Prix in Sochi in 2014–2020; and the 21st FIFA World Cup in 2018.

The privilege of being the host country for the world events requires major constructions in 15 Russian cities including Moscow, Moscow city region, Kaliningrad, Saint Petersburg as well as others: not only the construction of new hotels, but airports, railway services and motorways in order to create a well–developed infrastructure in the country. However, the current interest rate in Russia makes it very difficult for the local companies to invest money into new businesses. This means that Russia needs foreign investments, which, in return, opens lots of opportunities for foreign companies. Sergei Kolesnikov, general director of GOST Hotel, states that only 43% of the planned total hotel numbers are currently constructed in Sochi in advance of the 2014 Olympic Games. Olympic family hotelsAccording to Maria Trofimova, IOC, IPC, OCOGs relations senior manager, the plans include the construction of two official Olympic Family Hotels which will be located at Imeretinskaya Low Land. The first hotel should be commissioned in October 2012; and the second hotel 'Chernomoritz Park SPA Hotel' – in June 2013 with the construction to start in June 2011. IOC/IPC which is the primary point of contact for Sochi, is planning to select 3, 500 Olympic and 1, 500 Paralympic family members. The expected number of dignitaries will include 300 international as well as 1, 200 domestic persons, according to Vasily Chistotin, protocol senior manager, Sochi 2014. Chernomoritz Park SPA Hotel is the first project of its 'Resort' type on the territory of the Russian Federation with the area of 140, 000 square kilometres, and the capacity of 800 hotel rooms. According to Mikhail Merkulov, deputy director for projects, the two main partners of the project are the Arabic partner with 12 years of project experience in London, and the two Russian banks financing the initial capital and 70 percent of the capital, accordingly. The four English company–partners include WATG which designes the architecture and interior design of the hotel, with Rory Hopkins as a vice president and deputy chief architect of project 'Chernomoritz Park Spa Hotel'; ARUP; Davis Langdon which is responsible for the cost control of the Project; and Jones Lang Lasalle responsible for the planning. According to Rory Hopkins, the estimated project cost is $535m, and the minimum net worth of the project is $910m.

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